#CEXvsDEX101
User funds are held in the exchange's custody.
Pros:
✅ High liquidity
✅ Fast transactions
✅ Easy to use for beginners
✅ Fiat on-ramps (buy with USD, etc.)
Cons:
❌ Less privacy
❌ Potential risk of hacks
❌ Not fully controlled by the user
User funds are held in the exchange's custody.
Pros:
✅ High liquidity
✅ Fast transactions
✅ Easy to use for beginners
✅ Fiat on-ramps (buy with USD, etc.)
Cons:
❌ Less privacy
❌ Potential risk of hacks
❌ Not fully controlled by the user